KUALA LUMPUR: Sime Darby Plantation Bhd (SDP) said its board of directors has approved the company’s divestment of its entire 100% stake in Sime Darby Plantation Liberia Inc (SDPL) to Mano Palm Oil Industries (MPOI).
In a filing with Bursa Malaysia yesterday, SDP said this decision was part of the company’s current asset monetisation exercise, which includes the divestment of under-performing assets or assets that have achieved its full value potential for disposal.
“SDP would also like to confirm that the government of Liberia has consented to the divestment of SDPL’s shares to MPOI.”
“SDP is currently working together with MPOI to finalise the terms and conditions of this divestment exercise via a sale and purchase agreement which is targeted to be signed by the end of 2019, ” it said.
SDP said the transaction was expected to be completed in the first quarter of 2020.
Sime Darby Plantations signed a 63-year concession agreement the government of Liberia to develop 220,000 hectares of land in Grand Cape Mount, Bomi, Gbarpolu and Bong into oil palm and rubber plantations about a decade ago. — Bernama
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